What are the day-to-day operations of this route?
To summarize, you will pick up product from the warehouse and deliver product to existing accounts that includes supermarkets usually starting in the morning hours. Your responsibilities will include the following: evaluating and creating an order of product needed for the shelf, pull the order from your inventory, receive the order through the back door, and then fill the order to the shelf.
What are the current average sales for this route?
Currently this route averages $14,310 per week in sales or $744,139 per year. Documentation will be provided to all serious buyers.
How do I get paid?
As an independent distributor you are paid by commission. Commission varies depending on the items sold. This route currently receives an average of 20% of its gross weekly sales of $14,310 ($2,862 per week).
How much can I make?
$2,862 per week is the routes weekly average, or a gross of $148,828 per year! This number can be increased, by supporting the company’s promotions and up selling within your designated territory. Route values can also be increased by new stores opening, new product lines being added, and simple inflation.
Can I finance the route?
There is no seller financing for this route, and unfortunately banks will NOT write business loans against route-based businesses for several reasons. However, if you need money, you can review additional Financing Options Here.
What are my expenses and overhead?
Expenses include, but are not limited to: fuel, stale or damaged product, computer, warehouse, promotions, helper, vehicle maintenance, and insurance. The current owner estimates $516 per week or $26,837 per year in expenses/overhead (Note: Expenses represent a cash purchase and do not account for finance payments if requiring a loan to purchase).
What type of insurance do I need?
Typically, a single owner operator of a route distributorship will need commercial insurance for their delivery vehicle and business liability insurance. Owners with multiple employees will need a multiple vehicle policy and workers compensation. Routes For Sale now offers discounts on insurance! Through our size and volume, we have partnered with some of the largest insurance brokers in the nation to offer the best rates. Request Your Free Insurance Quote Here.
What type of vehicle do I need?
There is no vehicle included in the purchase. Common delivery vehicles used for this type of business are step vans, box trucks and cargo trailers. When considering purchasing a truck, Routes For Sale recommends MAG Trucks.
What is the Gross vs the Net income?
The gross income for the route is $148,828 per year, minus your estimated yearly expenses of $26,837 as mentioned above gives you the net of $121,990 per year!
How does the selling price of the route get determined?
All route sales are determined by a ratio based on a weekly sales average. The selling price of this route is $150,000 based on a weekly sales average of $14,310; you come up with a selling ratio of 10.5:1.
Do I have to pay for inventory or purchase product up front?
There is an initial deposit required, the terms can be discussed with the company before purchase.
Do I have to sign a contract?
Yes, as an independent distributor you sign a service agreement to represent Mission Foods. In turn the company agrees to promote and assist you in growing your business. The contract is to protect both the company and its distributors.
What are the qualification requirements?
To qualify for a route purchase, Mission’s will do a simple background check.
Why is the distributor selling?
Owner is downsizing their business.
How many accounts does the route have and where is the warehouse located?
This route has 16 accounts that include popular grocery stores and super stores. The location of the accounts and the warehouse will be disclosed upon execution of an NDA.
How long has the seller owned the route?
Current owner has owned a route through Mission Foods for 8 years.
Do I get paid full commission when something goes on sale?
When the company discounts an item for store promotions, you are paid full commission on the discounted selling price.
How many days a week, and what hours do distributors work?
The current owner works 5 days per week taking Wednesday and Sunday off. The current distributor also hires a helper. Early morning hours are required.
What about vacation time or personal days?
As a business owner you are responsible for servicing the route. It is our recommendation that you hire or train someone for additional time needed off. Additionally, you can network and hire distributors with previous route experience at RouteReliefDrivers.com. Route Relief Drivers is a nationwide network that allows independent route distributors and vacation relief drivers to connect with each other. Each party negotiates its own terms and compensation.
What is required in order to qualify for purchase?
Typically, most company routes or distributorships will require you to attend an interview for approval from the company, background check, and form an entity such as an LLC or Corporation. This not only protects the company, but also ensures protection of your business. If you need help forming this, we recommend that you Form A Corporation Here.
What else should I know?
Mission Foods continues to be aggressive promoting growth and adding new product lines. Plenty of growth opportunity with high volume stores, and a high commission payout! Priced to sell at $150,000! Contact Us About This Route Here!
How can I learn more about these types of routes?
In order to provide New Buyers with as much information as possible we have put together a quick overview of the industry. Learn More About Mission Tortilla Routes Here!